AgDay Daily Recap -May 11, 2015

OPEN HEADLINES:
TODAY ON AGDAY - LOOK OUT FOR FALLING REGULATIONS. THE REGULATORY CLIMATE HERE IN WASHINGTON CONTINUES TO BE BURDENSOME FOR AGRICULTURE. I'LL HAVE MORE TODAY ON AGDAY. IN AGRIBUSINESS...A CHECK OF DAIRY MARKETS…SO FROM THE DAIRY INDUSTRY PERSPECTIVE WE THINK THERE IS GROWTH BUT IT'S NOT UNABIDED. MACHINERY PETE SAYS ROUND BALERS ARE BRINGING BIG BUCKS AT THE AUCTION HOUSE. AND DRONE TECHNOLOGY MAY BE A BIG USE TO AGRICULTURE ONE DAY BUT RIGHT NOW IT'S HELPING PARK RANGERS IN AFRICA PROTECT ENDANGERED ANIMALS. AGDAY BROUGHT TO YOU BY THE DEPENDABLE, LONG LASTING CHEVY SILVERADO.REGULATORY OVERRIDE:
GOOD MORNING I'M CLINTON GRIFFITHS. FROM THE WATER PONDS ON YOUR FARM, TO THE EMISSIONS FROM LIVESTOCK OPERATIONS, AND DUST COMING FROM FIELDS, THERE SEEMS TO BE NO SHORTAGE OF GOVERNMENT OVERSIGHT. BUT IS IT TOO MUCH? AND IS OVERREACH GETTING WORSE...AND THAT'S OUR TOP STORY ON AGDAY.SYGENTA MONSANTO:
A POTENTIAL SHAKE UP AT THE TOP OF THE AGRICULTURAL BUSINESS WORLD.
SYNGENTA SAYS ITS REJECTING A 45 BILLION DOLLAR TAKEOVER BID FROM MONSANTO.DIETARY GUIDELINES:
THANKS MIKE. AG SECRETARY TOM VILSACK SPEAKING OUT ON THE NEWLY PROPOSED NEW DIETARY GUIDELINES…HE SAYS THEY SHOULD FOCUS ON DIET AND NUTRITION...AS THEY WERE INTENDED. HE SAYS INCLUDING THINGS LIKE SUSTAINABILITY AND CARBON EMISSION DON'T BELONG THIS REPORT...ADDING THERE ARE SEPARATE AVENUES FOR THOSE DISCUSSIONS. AS OF LAST WEEK, THERE WERE 22-THOUSAND COMMENTS ON THE PROPOSAL. BACK IN 2010 THERE WERE LESS THAN 2 THOUSAND.BEEF IMPORTS:
THE U.S. IS IMPORTING MORE AG AND FOOD PRODUCTS THIS YEAR. FOR THE FIRST 6 MONTHS OF THIS FISCAL YEAR, WE'VE IMPORTED 57 BILLION DOLLARS WORTH OF AG PRODUCTS, THAT’S UP 4 BILLION COMPARED TO THE SAME SIX MONTH A YEAR AGO. THE BIGGEST JUMP IN BEEF TOTAL IMPORTS IN TERMS OF VALUE ARE 88 PERCENT HIGHER THAN LAST YEAR...MUCH OF THAT COMING FROM AUSTRAILIA…THAT COUNTRY CONTINUES TO DEAL WITH SEVERE DROUGHT FORCING MANY CATTLE OPERATIONS TO CULL HERDS.TEASE:
UP NEXT WE'LL TAKE A CLOSER LOOK AT WHAT'S GOING ON IN DAIRY MARKETS AND HOW WORLD SUPPLY IS IMPACTING PRICES HERE AT HOME.ANALYSIS:
BRYAN DOHERTY WITH STEWART-PETERSON IS JOINING ME THIS MORNING. BRIAN, LET'S TALK ABOUT DAIRY MARKETS. THERE'S BEEN SOME INTERESTING THINGS GOING ON IN DAIRY BETWEEN THE HERD GROWING AND THE QUOTA SYSTEM IN THE EU FALLING OFF THE START OF APRIL. WHERE ARE WE? WOW. GOOD QUESTION AND INTERESTING IS THE RIGHT TERM. I WAS TALKING TO A FAIRLY LARGE DAIRY IN WISCONSIN YESTERDAY AND WE WERE JUST USING THAT SAME TERM. IT'S BEEN AN INTERESTING YEAR. YOU WENT INTO FALL WITH RECORD PRICES AND PROBABLY EXTENDED THAT RALLY A LITTLE FURTHER THAN ANYBODY EXPECTED AND HELD IT A LITTLE BIT LONGER BUT THEN THE DEFERRED MONTHS, THEY NEVER CAME UP. THEN THEY STARTED TO MOVE DOWN AND THEN THEY GOT SOFT. NOW, THEY'VE CAME UP SOFT HERE THIS WINTER. WE'VE HAD SOME GOOD BOUNCE-BACK. THE MOST RECENT ONE THIS EARLY THIS PAST WEEK, FROM THE DAIRY INDUSTRY PERSPECTIVE, WE THINK THERE'S GROWTH BUT IT'S UNABIDED. WHEN THERE’S A PROFIT, THERE'S GROWTH. THAT'S GOING TO HINDER THE ABILITY FOR MILK TO REALLY TAKE ANOTHER RUN BACK OVER $20 OR $22 LIKE WE SAW LAST YEAR. GRAIN PRICES ARE CHEAP. THAT'S GOING TO KEEP EXPANSION UNDERWAY, BUT THAT TWILL KEEP THE HERD IN CHECK. THE GOOD NEWS IS THAT BEEF PRICES ARE HIGH AND DAIRY PRODUCERS DON'T WANT BE CUT WITH A LOT OF INVENTORY. THEY'RE QUICK AT THE KNIFE TO GET RID OF COWS AND THEY'RE LIKELY GOING TO BE QUICK TO GET RID OF HEIFERS AS WELL. I HAD ONE PRODUCER SAY, "WHEN I GO TO WORK IN THE MORNING, I ASK MY CREW NOT ABOUT THIS COW AND WHAT THIS PRODUCING BUT HOW MUCH CAN SHE BRING IN THE MARKET." THAT'S A DIFFERENT WAY TO VIEW IT. THE INDUSTRY IS IN GOOD SHAPE, PROBABLY RANGE-BOUND FOR THE REST OF THE YEAR. I THINK $15 DOLLARS, WE'RE GOING TO HOLD THAT ABOUT $16 UP TO $18,19 THOUGH, YOU NEED TO SELL INTO THAT TO THIRD OR HALF OF THE MILK. WHAT ABOUT THE EXPORT PICTURE WITH INCREASED COMPETITION? EUROPE IS ONE OF THOSE VARIABLES THAT KEPT THOSE DEFERRED MONTHS BACK AND SO IT'S PROBABLY IN THE MARKET-PLACE, BUT STILL IT'S LIKE A WET RAG HANGING OVER THE MARKET. IT'S ANOTHER REASON WHY WHEN PRICES RALLY, END-USERS ARE GOING TO BE LESS RELUCTANT TO CHASE THE MARKET HIGHER. SO THAT'S WHY WHEN YOU SEE THESE RALLIES, DON'T GET COMFORTABLE WITH THEM. GET IN POSITION TO MANAGE THEM. DON'T LET THEM MANAGE YOU. MANAGE THE RALLY.ITC DRONE POACHING:
WE'VE BEEN TALKING A LOT LATELY ABOUT THE GROWING USE OF UN-MANNED AERIAL VEHICLES IN AGRICULTURE. FARMERS AND RESEARCHERS USE THEM TO SCOUT FIELDS AND ORCHARDS. NOW, PARK RANGERS IN AFRICA ARE USING THE TECHNOLOGY TO RESCUE ANIMALS BEFORE POACHERS TAKE AIM ON THE ILLEGAL TARGETS. TOM RITCHIE HAS OUR STORY.CLOSE:
THAT'S ALL THE TIME WE HAVE THIS MORNING. WE'RE GLAD YOU TUNED IN.